Toshiba has released accounts that were not signed off by its auditors, an unprecedented move for a major Japanese company, because the auditor was concerned about the potential liabilities in the US Westinghouse nuclear business, which is in administration. The company’s situation is so bad that it has admitted that its future as a going concern is in doubt.
One source of cash is the firm’s memory chip business, and the highest bidder was reported to Foxconn, as TSMC had dropped out, and the Foxconn bid was around $27 billion. However, Toshiba is reported to be concerned about potential regulatory delays because of Foxconn’s China links. That may mean that it would consider one of the lower bids that could be done more quickly. Private equity companies are interested and Broadcom and SK Hynix, an Apple memory supplier are reported to have expressed interest. The Japanese government is also reported to be arranging a group of local firms to bid for a minority interest, to allow Toshiba to retain control.
